Human Resource & Labor News
www.agc.orgSeptember 14, 2017 / Issue No. 06-17
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On the Inside
Professional & Workforce Development
Construction HR & Training Professionals Gear Up for Industry Conference
Seventy Percent of Contractors Have a Hard Time Finding Qualified Craft Workers to Hire Amid Growing Construction Demand, National Survey Finds
Wages & Benefits
Overtime Rule Invalidated by Federal Court in Texas
Minimum Wage for Federal Contractors Raised to $10.35 for 2018
Judge Finds Contractor Responsible for Davis-Bacon Workers’ Actual Lodging Expenses
AGC Urges DOL to Modernize Davis-Bacon Certified Payroll Reporting Requirements
PBGC Report Shows Continuing Problems with Multiemployer Pension Plans
Equal Employment Opportunity
OMB Halts New EEO-1 Pay Data Collection Requirements; Original EEO-1 Reporting Still in Effect
Minimum Wage for Federal Contractors Raised to $10.35 for 2018
 

The Wage and Hour Division (WHD) of the U.S. Department of Labor (DOL) is announcing a minimum wage increase of $0.15 to $10.35 per hour to be paid to workers performing work on direct federal contracts and subcontracts covered by Executive Order 13658. Federally assisted contracts are not affected. The rate goes into effect on January 1, 2018.

Executive Order 13658 was signed by President Obama in 2014, and its corresponding regulations implemented an hourly minimum wage for workers performing work on covered federal contracts of $10.10 per hour beginning on January 1, 2015.  The order mandated that the Secretary of Labor determine a new minimum wage annually, based on the annual percentage increase in the Consumer Price Index for urban wage and clerical workers.  Notice is required to the public at least 90 days before the new wage goes into effect each year. 

Impacted workers include those whose wages are governed by the Davis-Bacon Act, the Service Contract Act, and non-exempt workers whose wages are governed by the Fair Labor Standards Act (FLSA) for all time spent directly supporting a covered contract.  FLSA-covered workers who do not spend at least 20% of the workweek directly supporting a covered contract are excluded. 

Covered contractors with existing projects or awards are entitled to an adjustment by federal agencies if the annual inflation increase was not covered by the existing contract or award. 

For more information on Executive Order 13658 including AGC’s impact on the final rule, click here or contact Claiborne Guy at claiborne.guy@agc.org or 703-837-5382.
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